SEO MCQ Question Page

Which statement best explains Cash basis?

Practice this MCQ with options, instant answer checking, explanation, exam-wise filters, next/previous navigation and shareable result image.

Question ID #27417

Correct Answer: C. Recognition of transactions primarily when cash is received or paid

Question: Which statement best explains Cash basis?

A. Asset expected to be realized, sold or consumed within the operating cycle or specified short period

B. Expenditure whose benefit is generally consumed within the current accounting period

C. Recognition of transactions primarily when cash is received or paid

D. Recognition of income and expenses when earned or incurred rather than only when cash moves

Correct Answer: C. Recognition of transactions primarily when cash is received or paid

Which statement best explains Cash basis? - MCQ Explanation

This question is useful for exam preparation because it provides direct multiple-choice practice with options, answer checking and explanation.

Correct answer: C. Recognition of transactions primarily when cash is received or paid